Earnings ForecastSecond quarter guidance for adjusted EPS is below the estimates of Bank of America and the Street.
Financial PerformanceHigher rail rates and a higher tax rate are expected to partially offset the positive trends in operating, converting, and maintenance costs.
Market DynamicsPKG management indicated a 'high level of frustration' with P&PW index pricing; open market linerboard sales account for a significant percentage of PKG transactions, and the open market for Containerboard has shrunk over time.